I would say in general I agree with your point, but there are many pure skill games that have large audiences. Like most sports have incredibly low RNG compared to something like poker, but have giant audiences.
True. Gymnastics, for example, is very popular but it is a pure skill competition. The problem is that the world doesn't need a lot of new pure skill competitions because competitions for most natural skills already exist. And they often have big audiences. But the business of games is usually selling entertainment to participants.
I'd bet civilian/recreational players are also a tiny minority. Depends upon where you are of course. But hard to reconcile the 'obese American' with the image of a nation of sportspeople, for instance.
They probably are a minority, but how does that relate? There are still millions of people participating in the game, having more spectators doesn't negate the participants. If anything I think that would reinforce it being a good game.